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KENT, WA-Archon Group has paid G REIT $77.52 million for Centerpoint Corporate Park, a four-building, 436,000-sf office development here that is about 70% occupied. Major tenants include Patient Accounting Service Center, Alaska Airlines and Noridian. The class A property was built in 1985 and renovated in 2000. The sale closed last week.

In an SEC filing Monday, G REIT said Archon originally had the property under contract for $77.8 million. The downward adjustment was made after further inspection of the property in September, according to the filing. G REIT paid $54.22 million for the property in December 2003; it was 67% leased at the time.

As of the end of 2005, the property’s physical occupancy was 66.8% and the annual rent per occupied square foot was $15.75. Annual rent from the property was $4.58 million, according to an SEC filing.G REIT, which is liquidating its portfolio, says the sale generated net cash proceeds of $33.7 million after paying off debt associated with the property as well as closing costs and other transaction expenses. Transaction costs included a property disposition fee of $1.16 million and a sales commission of $465,000 (0.6% of sales price).

Centerpoint Corporate Park’s buildings are known as Cascade East, Cascade West, the Commons and the Atrium. The buildings are part of an eight-building, 735,000-sf class A suburban master-planned corporate campus built on 40.29 acres. The 2001 renovation of the Centerpoint buildings included all new finishes to lobbies, restrooms and common areas and unspecified structural improvements. Amenities include full-service restaurant tenant Alki Bakery, a fitness center and a childcare center with an outdoor recreation area.

G REIT has sold five buildings so far this year. Another 18 properties have been listed for sale and four of them are under contract. In its June 30, 2006 Form 10-Q quarterly report, management estimated a cumulative net liquidation value of approximately $10.97 per share of common stock. G REIT is advised by Triple Net Properties LLC of Santa Ana, CA.

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